PepsiCo Stock Climbs on Better-Than-Expected Results as International Sales Gain

PepsiCo (PEP) shares are soaring in early trading Thursday after the beverage and snack food giant affirmed its outlook and also posted better-than-estimated quarterly results.

The maker of Pepsi soda and Doritos and Cheetos chips reported adjusted earnings per share (EPS) of $2.12 on sales of $22.73 billion. Analysts surveyed by Visible Alpha had expected $2.06 and $22.35 billion, respectively.

“Our international business momentum continued, while our North America businesses improved their execution and competitiveness in key subcategories and channels,” CEO Ramon Laguarta said. While North American revenues rose 1% year-over-year, volume dropped by 2%.

PepsiCo said it continued to expect EPS to be “approximately even with the prior year” in constant-currency terms. The company also said it expects a 1.5% year-over-year decline in core EPS in 2025 versus its previous 3% decline projection, with Laguarta crediting the weaker U.S. dollar for the improvement in earnings forecast.

“We’re encouraged by the acceleration in our net revenue growth versus the previous quarter with our businesses effectively navigating through a challenging environment,” Laguarta said.

PepsiCo shares are gaining 6% in morning trading. They have lost approximately 5% of their value so far this year.